Small scale rice millers request Govt help to purchase paddy | Sunday Observer

Small scale rice millers request Govt help to purchase paddy

12 April, 2020

 

When there are 20 million people who consume rice in Sri Lanka, three large scale rice mill owners outrageously decide on the prices of paddy, maintaining an unethical monopoly in the market, said small scale rice mill owner of Polonnaruwa, Suraj Jayawickrama.

Expressing his views on the paddy and rice monopoly in the market, Jayawickrama said the Government and banks provide very small loans to small scale rice mill owners to purchase paddy. However, they provide a higher number of loans to three large scale rice mill owners, namely, Araliya, New Rathan and Nipuna . Under the pretext of the coronavirus pandemic these leading rice mill owners attempt to purchase paddy and create an artificial shortage in the market and also to fix the price of a kilogram of rice at Rs. 100.

He said that even if the small scale rice mills have been declared as an Essential Service they do not have stocks. We are ready to commence our operations within 24 hours and we have enough workers. Therefore, the Government should take immediate steps to provide the rice stocks in Kilinochchi and Jaffna to small scale rice mill owners. We are ready to provide rice at the maximum retail price declared by the Government .At present, the stocks of rice in the districts cannot be transported due to the curfew. Therefore, the Army can intervene and fulfil this task.

Three large scale rice mill owners measure their stocks early and store them. Then, we only have the remaining paddy stocks of the farmers to purchase. By this time, the three leading rice mill owners have increased the price of paddy so that any small scale rice mill owner is unable to purchase paddy. This is called the monopoly or the ‘mafia’. Even the banks should be held responsible for this.

Jayawickrama said that the Nipuna rice mill owner had told the President on April 9 that the rice mills will have to be closed for 10 days so that a rice shortage would be created in the market. These rice mill owners never close their mills or stop their operations. The Government should immediately take over the stocks of paddy of these large scale rice mill owners. As small scale rice mill owners we would convert the paddy to rice and provide enough stocks of rice as requested by the Government.

He said that the Government should intervene to purchase paddy at the next harvest season. Firstly, credit facilities should be given to all rice mill owners to purchase paddy. The Government should also give some targets to small scale rice mill owners regarding the purchase of paddy and the production of rice. At present, there are 5,000 metric tons of paddy purchased by the Divisional Secretaries and the Army. This paddy stock should be distributed equally among small scale rice mill owners. Then we could provide rice for the Government as soon as possible. We are ready to help the Government in this catastrophic situation.The Government should not be scared of these three large scale rice mill owners. There are sufficient rice stocks for the next four months and there is no need to create a rice shortage in the market.

He said that the Government should fix the price of a kilo of paddy at Rs. 40 - 45 so that a kilo of rice can be given to the consumer at Rs.80 -85. This would not cause any loss to paddy farmers as well. There are small scale rice mill owners associations in each district. In the Polonnaruwa district alone there are 60 small scale rice mills. Steps should be taken to provide credit facilities to small scale rice mill owners when it is time to reap the harvest. We have enough storage facilities countrywide. Therefore, the Government should not dance to the whims and fancies of these three large scale rice mill owners. We have the ability to compete with them. We are ready to commence our operations within 24 hours and provide quality rice without paving the way to create any rice shortages in the market.

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